Yet more lay-offs: Two groups — 13 associates so far — real estate and business transactions.
Other tipsters have used the same ominous language: “13 associates, so far.” Are there more people that are going to get the bad news from Schulte today? The firm did not respond to our request for comment, so we suppose other Schulte associates will just have to wait and see.
But let’s not get ahead of ourselves. Before we worry about how many more pink slips might be handed out today, let’s take a moment to look at the 13 we know of that have already been let go.
In addition to the people let go in real estate and business transactions, sources also report that there were some casualties in the investment management group. As far as we know, litigation associates are safe.
But first-years are not. Now these aren’t first-years that just showed up at the firm (we understand that Schulte actually has some first-year associates that have already started). Instead these are “first years” that started in the fall of 2008 (i.e., on the cusp of becoming second-years).
Is that enough time to get a full and fair “performance evaluation” under your belt? Or is Schulte just making room for its new class by pushing out last year’s class? If so, incoming first-years should be aware that they need to hit the ground running.
Today’s layoff news is a bit surprising given that in August Schulte spokespeople explicitly told us that they were not contemplating layoffs. Regular readers will remember that we ran a blind item over the summer about a firm that had hired a layoff consultancy company. Schulte made a point of telling us that it was not the firm in question.
We also noted that Schulte seemed particularly bullish about its prospects in 2010 and 2011.
So you can see why one of our tipsters was caught off guard by today’s moves:
I thought we were done with this. I thought things were getting better.
Things are getting better, but it doesn’t mean we’re done with Biglaw layoffs.
Are there other firms that are going to try to get through a round of layoffs before the holidays? Stay tuned.
Earlier: Blind Item Follow-Up: Denials of Upcoming Layoffs from Dewey, Schulte, and White & Case
Schulte Roth Feeling Good About 2011